Amazon

Amazon plans to launch free streaming video service with ads

Published: 10:37, November 23, 2014

Amazon.com reportedly would like to launch a free streaming-video service in 2015 with adverts. It won’t be the same as its current $99 per year Prime membership that gives the customer access to an established streaming video service.

The viewer would have free access to the service, which would be more similar to mainstream TV, media sources quoting people familiar with the matter reported.

If the new service becomes a reality, it would pose a serious threat to Netflix, which charges $7.99 per month.

Amazon’s aim is to get viewers to come and watch its ad-supported offering and then sign up for a Prime membership, i.e. it wants to broaden its Prime audience with a loss-leader. Earlier this year, the Wall Street Journal sparked a similar rumor.

Amazon responded rapidly in March, denying it had any such plans with a spokesperson saying “We’re often experimenting with new things, but we have no plans to offer a free streaming media service.”

Amazon free plus ads

Doesn’t the “free + ads” option take us back a step to traditional TV watching? If so, what’s the point?

The New York Post, which started this latest rumor, quoted an unnamed source who said “The main point is to bring in more users that you can eventually up-sell to Prime, or to get to a broader audience that doesn’t want to pay for Prime, in order to increase their video share.”

Amazon recently said to Engadget “We currently offer the first episode of some television shows free with ads through our First Episode Free feature on Amazon Instant Video, and there are display ads on some short videos such as movie and game trailers.”

Some people believe Amazon may be considering a hybrid offering – with some ads and a low monthly/annual fee – which might help it grab some price-sensitive customers.

Christian Nordqvist Avatar

Other News

Smaller, longer-lasting batteries could help cut supply-chain emissions

Oct 17, 2026

Glowing liquids could give products harder-to-copy security markings

Oct 17, 2026

Proofpoint agrees to buy Varonis in $6.3 billion data security deal

Oct 16, 2026

EU tourist accommodation records 3.14 billion nights in 2025

Oct 16, 2026

Travelers profit edges higher as investment income sets a record

Oct 16, 2026

Euro-area inflation reaches 3.8% as energy pressure intensifies

Oct 16, 2026

UK regulator proposes new oversight of Microsoft business software

Oct 16, 2026

US industrial output rises 0.7% as utilities outpace factories

Oct 16, 2026

Mercedes-Benz extends Nvidia partnership for automated driving

Oct 16, 2026

ManpowerGroup picks Becky Frankiewicz to lead its recovery

Oct 15, 2026

Euro area industrial output falls for a third month

Oct 15, 2026

GTCR and Elliott agree $6.1 billion takeover of insurance software group CCC

Oct 15, 2026

UK economy grows 0.1% in August, beating forecasts of a fall

Oct 15, 2026

TSMC forecasts another sales jump after profit rises 68.7%

Oct 15, 2026

EU e-waste collection remains far below its main target

Oct 14, 2026

IMF forecasts 3.1% growth with less room to absorb another shock

Oct 14, 2026

ASML weighs more capacity after a record €11.7 billion quarter

Oct 14, 2026

Buying robots does not always make factories more productive

Oct 13, 2026

Making electronics entirely in the US could raise costs by 41% to 152%

Oct 13, 2026

6G standards take shape while 5G investment continues

Oct 13, 2026